Insurance Companies

Because they are assuming risk. Risk that you will get into an accident, that they will have to pay your bills, that you will get sued, etc. That’s the point of insurance.

In exchange for taking on this risk, the insurance company charges you whatever premium. This premium covers the company’s risk and provides profit. If you dont pay the premium, then the company is taking on risk without getting compensated for it. And to an insurance company the potential costs of paying out a claim are very high. They want to make sure you will be reliable in making your required payments. Hence, the credit check.

Also, unlike say a mortgage, the insurance company doesnt have a claim against your assets if you dont pay. If you dont pay your mortgage, the bank can take your house. If you dont pay your car insurance, the insurance co cant take your car.

… business so that credit card companies quit making so much money?

Your interest rate (if you’re a single mom or disadvantaged minority) could be 2%. Late fees could be $0.44, which is the cost of a stamp to remind you that you’re late.

Right?
Shouldn’t you get a public option from the Dems for you credit card?

If Obama were a liberal and a socialist, like reactionary morons claim he is, he’d be ding this, because it’s long overdue.

The government is so obviously bought off by private corporations, to the point they are now handing over our tax dollars to them. Isn’t this illegal? Should they all go to jail for corruption? They are pretending it’s a bailout. THese are companies that charge over 20% interest rates and make bank. Just because they got greedy and gambled on Wall Street, why should they get paid off for all their losses instead of taking a hit like everyone else. They still seem to have enough to pay their CEO’s over 16 million in salary and take luxury trips like the one at the Ritz in Dana Point just days before the bailout passed. THey are laughing all the way to the bank on our dime and I’m sick of it, lying to us like it affects the economy of the CEO and shareholders make less profit than the amount they’re used to!

Congress can make any law to disburse funds from the Treasury in any way it sees fit.

It sucks, but if Congress makes a law, it’s legal.

why does my credit affect my driving

Your credit does not affect your driving, any more than your age affects your driving.

But the data shows that your credit score is actually a more accurate predictor of your future losses, than your driving history.

The lower your credit score, the more claims you are likely to file, and the larger those claims will be.

WHY? Who knows. The insurance companies don’t care, it doesn’t MATTER. It doesn’t matter WHY 16 year old boys have more accidents.

All that matters, is that there IS a direct corrolation between credit score and claims – and they can use that as a rating factor, accordingly.

And if so can they deny you health coverage based on a negative credit score? I am very worried.

They do that because they want to reserve the right to do it, should your medical claims be of question. Unfortunately, it has been shown that people that have a poor credit score might have related health insurance issues of nonpayment and such. Not necessarily fair, but the way it is. Hmmm, seems like perhaps the health insurance providers might consider the fact that if you have a major medical problem, you might also have trouble paying your bills because of it? More and more things are being tied to your credit score-health insurance, jobs, etc. so it is VERY important to have good credit-or if you don’t, to clean it up.

insurance cost even if we paid the policy renewal on time throughout the years

States that allow rate determination using credit, require that the companies use it EVERY time they rate your policy.

If your credit goes up or down, your rates will go down or up, also. Companies aren’t allowed to ’skip’ part of the rating process.

If you’re really asking, why do insurance companies factor in credit, it has NOTHING to do with you paying your insurance bill on time. The data shows that there’s a direct corrolation between credit score, and claims activity – the lower the credit, the more likely you are to file a claim, and the more likely that the claim will be larger.

Credit numbers are signs of responsibility. Someone with good credit would remove some of the doubt of weather they are a good insurance risk or not.

insurance companies that sell or offer travel or credit insurance to clients and the agent do not need a license.

Try the squaremouth affiliate program:

http://www.squaremouth.com/travel-partner.php

You can purchase or sell on travel insurance without a license.

If so, do they take all without burial money?

They can’t. But they’re pretty slimey, and will try to convince you otherwise.

The life insurance policy will pay the beneficiary. The beneficiary has NO obligation to spend the money anywhere, once they get the money, it’s THEIRS.

However, if the ESTATE is the beneficiary, well, no one can inherit anything from the estate, until all the debts of the estate are paid off – and that would include funeral costs, medical costs, mortgage, car loans, and credit cards.

The executor or administrator of the estate gets to pick which bills to pay with any money in the estate. And if it were me, I’d pay off the credit card debt LAST. Debt is NOT inheritable.

I had someone once tell me there were insurance companies that acted like credit unions. Where the members owned the company and it made things cheaper. Does anyone know about these? Is there a list to choose from, provided you are qualified.

They are called mutuals, or mutual insurance companies. However, they are not necessarily cheaper. Moreover, there is a trend of converting mutual insurance companies into stock insurance companies.

The largest mutuals in life and health lines are:

New York Life Insurance
TIAA-CREF
Mass. Mutual Life
Northwestern Mutual
Guardian Life of America
Thrivent Financial for Lutherans
Western & Southern Financial
Mutual of Omaha
CUNA Mutual Group
Mutual of America Life
Knights of Columbus

The largest mutuals in property and casualty lines are:

State Farm
Auto-Owners Insurance
Country Insurance & Financial Services
Sentry Insurance Group
Amica Mutual Insurance
Federated Mutual Ins.